New York prosecutors offered plea deals to three of the four former Dewey executives charged with fraud yesterday with the firm's ex-chief finance officer (CFO) facing jail time.

The prosecutors also cleared all four defendants on all remaining charges of falsifying business records.

The group of four former Dewey executives stood trial earlier this year for allegedly stealing from the firm's lenders, investors, and others prior to Dewey's collapse in 2012 but the proceedings ended in a mistrial in October.

The ex-leaders of the firm had been facing up to 25 years in prison if convicted of the most serious charges and Manhattan district attorney, Cyrus Vance, said in October he continued "to believe in the strength of the evidence and that the defendants' actions broke state law".

Yesterday the district attorney's office offered deals to three of the four defendants.

Ex-chief financial officer (CFO) Joel Sanders was offered a sentence of one to three years in prison in exchange for a guilty plea of first-degree scheme to defraud.

Former chief executive Stephen DiCarmine and client relations manager Zachary Warren were also offered sentences of 500 hours and 200 hours of community service respectively in exchange for guilty pleas on fraud charges. DiCarmine's deal would also entail resolving a related civil case.

Former chairman Steven Davis was not offered a deal but it is understood that discussions are ongoing.

A press spokesperson at New York County District Attorney's office said: "The offers presented to the four defendants at this stage are fair and appropriate. If the matters are not resolved, we look forward to trying the cases."

The four are due to appear in court again for another hearing on 8 January. However, if any plea offers are accepted beforehand, the court could meet sooner.

New York prosecutors offered plea deals to three of the four former Dewey executives charged with fraud yesterday with the firm's ex-chief finance officer (CFO) facing jail time.

The prosecutors also cleared all four defendants on all remaining charges of falsifying business records.

The group of four former Dewey executives stood trial earlier this year for allegedly stealing from the firm's lenders, investors, and others prior to Dewey's collapse in 2012 but the proceedings ended in a mistrial in October.

The ex-leaders of the firm had been facing up to 25 years in prison if convicted of the most serious charges and Manhattan district attorney, Cyrus Vance, said in October he continued "to believe in the strength of the evidence and that the defendants' actions broke state law".

Yesterday the district attorney's office offered deals to three of the four defendants.

Ex-chief financial officer (CFO) Joel Sanders was offered a sentence of one to three years in prison in exchange for a guilty plea of first-degree scheme to defraud.

Former chief executive Stephen DiCarmine and client relations manager Zachary Warren were also offered sentences of 500 hours and 200 hours of community service respectively in exchange for guilty pleas on fraud charges. DiCarmine's deal would also entail resolving a related civil case.

Former chairman Steven Davis was not offered a deal but it is understood that discussions are ongoing.

A press spokesperson at New York County District Attorney's office said: "The offers presented to the four defendants at this stage are fair and appropriate. If the matters are not resolved, we look forward to trying the cases."

The four are due to appear in court again for another hearing on 8 January. However, if any plea offers are accepted beforehand, the court could meet sooner.